Scott Sekella, who took a major role in turning around craft supplies retailer Joann’s business operations after a Chapter 11 bankruptcy filing in March, is leaving the company.
Sekella received a $400,000 retention bonus after the filing and now, as per federal law, must repay the bonus due to his voluntary resignation within six months of a bankruptcy filing.
Jeff Dwyer, who worked nearly 20 years at Alvarez & Marsal, will be brought on as interim CFO during the search for a full-time CFO. The move comes after a recent appointment last month of interim CEO Michael Prendergast, where it was also announced that Sekella intended to stay on as finance chief. It appears Dwyer and Prendergast had a professional relationship before he joined — Prendergast worked at Alvarez & Marsal for about six years before taking the interim CEO role at Joann.
According to the company, Sekella’s resignation was voluntary. “Scott’s departure was not related to any disagreements with Joann regarding the company’s financial statements or accounting policies or practices,” the announcement said.
“We are very excited to share these promotions and additions to the Joann management team and look forward to working with them to drive toward future successes,” Prendergast said in a statement. “With the support of the board of directors and the executive leadership, I am confident this team will help advance and execute Joann’s strategic plans. Last but not least, I’d like to thank Scott for all of his hard work and efforts.”
The CFO position at Joann was Sekella’s first and he also held the title of co-lead of the interim office of the CEO after the May 2023 retirement of former CEO Wade Miquelon up until Prendergast’s arrival. Before Joann, he was vice president of FP&A at Under Armour and global corporate controller at Crocs.
According to the company, Sekella will be pursuing other opportunities. However, there is no word on where Sekella’s next role will be.
This story will be updated as further details unfold.
